Assam GST Amendment Ordinance Approved: Key Highlights
The Assam Cabinet has approved the Assam Goods and Services Tax (Amendment) Ordinance, 2024, introducing significant changes to the state’s GST framework. The amendments aim to enhance revenue collection, streamline taxpayer compliance, and promote ease of doing business in the state.
Key Amendments in the Ordinance
- Relaxation in Input Tax Credit (ITC) Timeline
The timeline to avail ITC under Section 16(4) has been extended for FY 2017-18, 2018-19, 2019-20, and 2020-21.
Taxpayers can now claim ITC in any GSTR-3B return filed up to November 30, 2021.
This extension provides taxpayers more flexibility in rectifying their tax filings.
- Conditional Waiver of Interest and Penalty
A new provision introduces a conditional waiver of interest and penalty for demand notices under Section 73 for FY 2017-18, 2018-19, and 2019-20.
This waiver does not apply to demand notices related to erroneous refunds, ensuring accountability in such cases.
- Alignment with Central GST Act
The ordinance aligns Assam’s GST Act with amendments made to the Central Goods and Services Tax Act, 2017, ensuring uniformity across taxation frameworks.
Implications of the Amendments
- Revenue Augmentation
The extension of ITC timelines and waiver provisions aim to boost compliance, potentially increasing state revenue collection.
- Ease of Compliance
These changes simplify processes for taxpayers, reducing the risk of penalties and interest for past oversights.
- Business-Friendly Environment
By aligning with national GST norms and easing compliance burdens, the amendments promote a more favorable business climate in Assam.
Conclusion
The Assam GST Amendment Ordinance, 2024, reflects the state’s commitment to improving tax compliance and supporting businesses. By addressing taxpayer concerns and ensuring consistency with central GST provisions, the amendments pave the way for a more streamlined and business-friendly tax regime in Assam.
